Skepticism

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Couldn’t happen to a nicer guy

In a turn of events that will surprise absolutely no one, Martin Shkreli has been arrested for illegal trading. It was predictable that an entitled twit with no sense of ethics at all would have crossed the line into crime a few times, and his attention-seeking ways guaranteed that he’d be scrutinized carefully.

He said that if he had to do it over again (referring to raising the price of a life-saving drug), he would raise the price higher because his investors expect him to make a profit … sheesh, I don’t know what to say. Some people have no ethical core.

Responding to Hillary Clinton’s attempt to get him to lower the drug price with “lol” — what is he, eight years old?

@4 Lynna, OM :
I see him as Youtube commenters made flesh. Everybody knows, and probably him especially, that increasing the cost of something might actually drive the profits (and possibly the entire business) into the ground. It is obvious to me that the goal is not profit, but simply trolling. And what’s a more effective troll than one that actually toys with people life. He really behaves like a comic book villain, and I suspect that it is actally what he is going for.

Unless of course you have a legal monopoly on the product, and the product is needed by a lot of people to just stay alive. Then you can ask the price which truly maximises your profit. Which you would only do if you are indeed a vile supervillain-level asshole like this guy.

Well, the whole Shkreli affaire is just another proof of why it is a bad idea to have pharmaceutical companies in private hands and for profit. Developing, investigating and validating new drugs should be made as a part of scientific proces funded by public money, and their availability and distribution should be covered by public health insurece (i.e. special health care tax). There are actually countries around the world that attempt this and they did not devolve into totalitarian hellholes due to it. From where I stand USA is actually much more close to totalitarian hellhole than any of those other countries with partially/mostly publically funded healthcare.

As for Shkreli himself, he is the epitome of why I see the word “entepreneur” as a synonym for “sociopathic parasite” and “greedy asshole”.

Unless of course you have a legal monopoly on the product, and the product is needed by a lot of people to just stay alive. Then you can ask the price which truly maximises your profit. Which you would only do if you are indeed a vile supervillain-level asshole like this guy.

Except that he didn’t really have a monopoly, except on a very transient level–since the drug was actually something that could be produced in generic form, he was basically only going to be raking in the higher prices during a few month period, until some other manufacturer could come in and produce it at marginally above cost, at which point no one was going to buy anything from his company.

So yes, it really does seem like he was doing it more out of spite than out of greed, unless it was a particularly stupid form of greed.

I hope they stick him in general population and force him to mingle with any HIV positive prisoners there. It will probably be the first time in his life he will see the effects of his decisions.

Why do you think that would matter? Shkreli already thinks nothing much matters except for himself, and making a profit, of course. I doubt someone would fall to their knees with the weight of compassion just because they were behind bars. Shkreli, to all intents and purposes already seems to operate without the slightest bit of compassion, and certainly no empathy. If he goes to prison, I expect he’ll find a way to run things and make a profit there, too. He wouldn’t be the first one to do so.

@Lynna, OM(#4):
Well he IS right about that though, he has a duty to the shareholders to extract as much money from the market as it will bear. And seeing that he has effectively a monopoly on a lifesaving drug with a government paying he is absolutely right that the short term mandates he’d have raised the price even more. The problem is that this thinking screws over long term survivability of a firm which is supposed to be another thing he should be working for but neglected in his quest for short term gains. There is a good reason that others who are in the same position (monopoly and a must buy or you die stranglehold on the market) haven’t done this. The long term goodwill destruction outweighs the short term monetary profits.

Once again, some want to pretend things were said that weren’t there instead of reading carefully. Only Caine got the point.

Is it an act of violence to make republicans see photos of the damage their words and actions cause, like the Planned Parenthood and Sandy Hook shootings? No, and neither is forcing Shkreli to see the effects of his price gouging on those who have HIV. Make him see first hand the misery he is responsible for, because he certainly won’t see it from his office and mansion.

Left0ver1under, while I read your comment correctly, it is a comment that is *very* easily misread as a *very* common statement about “real punishment in prison”. If you don’t want your words misread, choose them more carefully.

It’s interesting that they paraded him out in front of the cameras for the perp walk instead of quietly letting him out the back entrance. Righteous indignation or pandering to public media’s thirst for blood, or a little of both?

Cue the right wing talking heads: “Obama is oppressing one of the wealth creators, the entrepreneurs, that makes a
America great! It’s socialism!”
“The gay agenda strikes again!”

Does anyone really think he’ll do hard time? I doubt it. If convicted he’ll probably do a relatively short stretch in minimum security, and maybe some house arrest time with an ankle monitor. Eventually he’ll write a book, and make a bunch of money doing the talk show circuit.

He said that if he had to do it over again (referring to raising the price of a life-saving drug), he would raise the price higher because his investors expect him to make a profit

The ironic thing is that he was arrested because his investors expected him to make a profit:

“Shkreli essentially ran his company like a Ponzi scheme where he used each subsequent company to pay off defrauded investors from the prior company,” Brooklyn U.S. Attorney Robert Capers said at a press conference

If he goes to prison, I expect he’ll find a way to run things and make a profit there, too. He wouldn’t be the first one to do so.

he doubt he will be able to pay for anything because he does not actually have any money. He does however have his wits such as they are and he will be fine in prison and jail no worse than anyone else surly. He will be able to find enough people to con long enough to make it to his release. He may even learn some new tricks from his fellow inmates but it is a place that is a little more physically dangerous than Wall Street and he will have to be careful who he cons and what the con is.
I remember hearing about the drug over pricing but had not realized how young he actually is.
kind of reminds me of the nursery rhyme pop goes the weasel
uncle frogy

Except that he didn’t really have a monopoly, except on a very transient level–since the drug was actually something that could be produced in generic form, he was basically only going to be raking in the higher prices during a few month period, until some other manufacturer could come in and produce it at marginally above cost, at which point no one was going to buy anything from his company.

San Diego-based Imprimis Pharmaceuticals Inc. […] said Thursday it will supply capsules containing Daraprim’s active ingredients, pyrimethamine and leucovorin, for $99 for a 100-capsule bottle

So you could say the market works :)

I did find it hilarious that he was ranting on Twitter recently about how he couldn’t understand the anger as it’s people who’re paying his inflated costs, but insurance companies. For a supposed monetary wunderkind, he has very little understanding of how economics works.

He said that if he had to do it over again (referring to raising the price of a life-saving drug), he would raise the price higher because his investors expect him to make a profit
The ironic thing is that he was arrested because his investors expected him to make a profit:

He wasn’t arrested for anything related to his disgusting price hiking which, sadly, is not illegal.

I had a brief flash of satisfaction when I read the news this morning.

That being said, he was arrested for security fraud, not for the reprehensible tactics that drew everyone’s attention. The one silver lining I saw with him is that he was bringing the spotlight on to other Pharmaceutical companies that also jack up the prices for profit (Valiant Pharma leaps immediately to mind) but are less blatant about it. I’m a little worried that with him not thumbing his nose at us, interest in the issue will fade and their reps will say ‘Oh, look, the little piece of Shkreli has gotten what’s coming to him, everyone go about their normal lives and don’t pay any more attention to us.’

See, the downside to being a loathsome asshole who profits off the sickness of others is that the moment you go down, things like this happen.

Of course, hopefully all of this will draw further attention to the more basic, underlying problem of capitalist speculation with desperately needed medications. Congress will surely pass something resembling reasonable price controls on pharmaceu — wait, why is everyone laughing?

I’m a little worried that with him not thumbing his nose at us, interest in the issue will fade and their reps will say ‘Oh, look, the little piece of Shkreli has gotten what’s coming to him, everyone go about their normal lives and don’t pay any more attention to us.’

Probably just my extreme cynicism speaking, but what interest?

The whole Shkreli kerfluffle has all the attention-grabbing power of a mass shooting in America. Rich person behaving badly towards people I don’t care about? *yawn*

Hopefully the [EXTREME SARCASM] tag isn’t necessary here, but I’ve had a few misses here lately.

After recommending successful trades, Shkreli eventually set up his own hedge fund, quickly developing a reputation for trashing biotechnology stocks in online chatrooms and shorting them, to enormous profit.

Sounds like an Ayn Rand hero. We should call these people what they are – super parasites. They produce nothing and actually make their living by throwing sand in the gears.

There has to exist some sort of lesser version of Darwin Award for people who self-sabotage out of pride

I propose the Helmsley award. Remember Helmsley and her “little people pay taxes” comment? Shkreli is making similar errors: too egregiously drawing attention to the fact that rich assholes get away with being rich assholes. This is poor form and draws the peasants’ attention. The established wealthy do not want this and are ready to come down on those who do it. Not that I have any sympathy at all for this guy, but his error was being too blatant, not being too greedy.

His activities did prompt test balloons from Ms. Clinton and Mr. Sanders (and a nice bits of verbal excoriation from one or two other political entities), but I agree that may not constitute enough to be classified as interest.

I think, however, that there might have been some build up if he had remained around long enough to do something to offend a larger swath of the population (I don’t know, Jack up the price of something that saves more 1st world babies, my imagination fails me here).

Toxoplasmosis infection can be passed to a developing baby if the mother becomes infected while pregnant. The infection spreads to the developing baby across the placenta. Most of the time, the infection is mild in the mother. The woman may not be aware she has the parasite. However, infection of the developing baby can cause serious problems. Problems are worse if the infection occurs in early pregnancy.

[…]

Pyrimethamine and sulfadiazine can treat fetal infection (diagnosed during the pregnancy).

Daraprim is the trade name for pyrimethamine. The reason that so few people bring up the baby-saving angle is that popular concern for fetuses and babies is really all about punishing people who can get pregnant for having sex or otherwise making their own choices in life.

A Noyd @50: Pregnant women in the US are routinely screened for toxo…if they come for prenatal visits. Which they are much more likely to do if they have health insurance. Almost all “pro-life” people are opposed to universal health insurance or even health insurance specifically to cover pregnant women or children. Despite the fact that it saves tax money.

I disagree. He bought a drug that was insurance approved, and manufactured by only one company. His intent was to extract as much profit in a short time as possible. He knew it would take time for insurance companies to revise their list of approved drugs, and that they would pay for it for at least a year, and in that time he could make millions.

freemage wrote:

Except that he didn’t really have a monopoly, except on a very transient level–since the drug was actually something that could be produced in generic form

Ugh. Who would want the Wu-Tang album? The minute I read about their plans to release that way, I knew some rich ***hole was going to buy it just to keep it out of the hands of other people, which was exactly what happened. A band which would create that situation in the first place is reprehensible.